U.S. Reps. John Larson and Joe Courtney, both Democrats, were told Friday by National Taxpayer Advocate Nina Olson that her office sent a request to the IRS' Office of Chief Counsel seeking "priority guidance" on granting tax relief to the homeowners, such as a casualty loss deduction.

Olson leads the Taxpayer Advocate Service, an independent organization within the IRS that helps taxpayers resolve problems. She testified at a Ways and Means Oversight subcommittee hearing Friday.

Larson said as many as 30,000 homes could be affected by the crumbling foundations problem, which was traced to a concrete mix containing an iron sulfide. It can cost upward of $200,000 to repair some foundations.

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